• On January 1, 2013, the stockholders equity section of Joshua Corporation shows:
• Common stock ($4 par value) $2,000,000; paid-in capital in excess of par $2,000,000; and retained earnings $2,200,000. During the year, the following treasury stock transactions occurred.
• Mar. 1 Purchased 90,000 shares for cash at $25 per share.
• July 1 Sold 10,000 treasury shares for cash at $27 per share.
• Sept. 1 Sold 18,000 treasury shares for cash at $24 per share.

Instructions

• (a) Journalize the treasury stock transactions.
• (b) Restate the entry for September 1, assuming the treasury shares were sold at $12 per share.